The Buckskin Rawhide West Property (the "Property") is an early stage gold and silver exploration property located in the Walker Lane Gold Belt in the Rawhide Mining District of Nevada. The Property has potential to contain occurrences of both high grade vein and low grade bulk disseminated gold and silver mineralization.

The Property is located three miles west of the Denton Rawhide Gold and Silver Mine. Denton Rawhide Mine was owned and operated by Kennecott Minerals Company from 1988 to 2010. Operations at the mine were suspended in May 2003 due to low gold prices but the mine continued to produce gold from existing heap leach pads. From 1990 through 2010, the Denton Rawhide Mine produced 1.5 million ounces of gold and 12.7 million ounces of silver (source: Nevada Bureau of Mines and Geology Special Publication MI-2010). In 2010, the Denton Rawhide Mine was acquired by Rawhide Mining LLC ("RMC") who continued to produce gold from the heap leach pads. In 2012, RMC recommenced mining activities at Denton Rawhide Mine.

The Buckskin Rawhide West Property is also adjacent to the Regent Gold and Silver Exploration Property. The Regent Property was acquired by RMC in January, 2013 (source: Pilot Gold Corporation press release dated January 10, 2013). The Regent Property was explored by Kennecott Exploration and Newmont Mining Corporation in the 1980's and 1990's with over 580 shallow reverse circulation drill holes drilled. This drilling was used by Kennecott to define a small mineral resource that would be considered non NI 43-101 compliant by today's standards. Pilot Gold acquired the Regent Property in 2011 and conducted additional exploration, including reverse circulation drilling, prior to selling the property to RMC.

Note that Emgold also has the Buckskin Rawhide East Property which is located approximately 1 mile to the east of Buckskin Rawhide West. The two properties are separated by the RMC's Regent Property.

In 2012, Emgold announced a deal whereby RMC would do a CDN$1.0 million private placement into Emgold, part of which would be used to consolidate Emgold's interest in the Buckskin Rawhide East Property. Emgold is in the process of completing these transactions, where it will have a 100 percent interest in the 52 unpatented mineral claims that make up Buckskin Rawhide East Property. RMC has agreed to subsequently lease the Buckskin Rawhide East Property from Emgold based on the following terms:

A Lease Term is 20 years.

Advance royalty payments will be $10,000 per year, paid by RMC to Emgold, with the first payment due at signing and subsequent payments due on the anniversary of the Lease Agreement.

During the Lease Term, RMC will make all underlying claim fees to keep the claims in good standing.

RMC will conduct a minimum of US$250,000 in exploration activities by the end of Year 1.

RMC will conduct an additional minimum of US$250,000 in exploration activities by the end of Year 3, for a total of US$500,000 in exploration activities by the end of Year 3.

RMC will have the option of earning a 100% interest in the Property by bringing it into commercial production.

Upon bringing the property into commercial production, RMC will make "Bonus Payments" to Emgold. Bonus Payments will be US$15 per ounce of gold mined from the Buckskin Rawhide Property when the price of gold ranges between US$1,200 per ounce and US$1,799 per ounce. If the price of gold exceeds US$1,800 per ounce, the Bonus Payment will increase to US$20 per ounce
After meeting its exploration requirements, should RMC subsequently elect to drop the Property or decide not to advance it, the Property will be returned to Emgold.

After completion of this transaction, RMC will have consolidated the Denton Rawhide Mine, Regent Property, and Buckskin Rawhide East Property. Potential will exist for RMC to complete exploration on the combined properties. Should any mineral resources be developed, it would be possible to fast track the potential permitting and mining of any economic deposits as an extension of the Denton Rawhide Mine and use the facilities there to process any economic material found.

Hence, the Buckskin Rawhide West Property was a strategic acquisition by Emgold. Emgold management believes there is both potential for high grade vein mineralization and low grade bulk disseminated mineralization on the Property similar to that found on the Denton Rawhide, Buckskin Rawhide East, and Regent Properties. Emgold plans to explore Buckskin Rawhide West, with the goal of delineating resources. Potential would exist to fast track permitting and development of any economic resources found at the near by Denton Rawhide Mine. Alternatively, should sufficient resources be delineated, a stand-alone project could be developed.

LOCATION

The property is located approximately 40 miles southeast of Fallon, in Mineral County, Nevada, as shown on the Property Location Map. It is in the Rawhide Mining District (formerly known as the Regent Mining District).

OWNERSHIP

The Buckskin Rawhide West Property consists of 21 unpatented mineral lode claims totaling 420 acres, also under the jurisdiction of the BLM. The claims are under a lease and option to purchase agreement to acquire 100% of the claims from Jeremy C. Wire, an individual, located in San Jose, California. The terms of this agreement were disclosed in Emgold's February 6, 2012 press release.

Emgold has agreed to lease the property from Mr. Wire, subject to the following payments:

Table 1Buckskin Rawhide West Property Payments

Year

Advance Royalty Payment

2012

US$10,000 (1)

2013

US$10,000 (2)

2014

US$10,000 (2)

2015

US$20,000 (3)

2016

US$30,000 (3)

2017

US$30,000 (3)

2018

US$60,000 (3)

Note: (1) Lease payments may be paid in 50% in cash and 50% in Emgold common shares. (2) Lease payments may be paid in cash or Emgold common shares, at the discretion of Emgold. (3) Lease payments may be paid in cash or Emgold common shares, at the discretion of the Lessor. Shares will be issued at "market value" which means the volume weighted closing price of the shares on the TSX Venture Exchange or the most senior stock exchange or quotation system on which the shares are then listed or quoted for fifteen (15) trading days ending on the date that is five (5) business days before the applicable payment.

During the lease period, Emgold may conduct exploration and, if warranted, complete a NI 43-101 Technical Report on the Property. On making the above payments and completion of the Technical Report, Emgold may acquire 100% ownership of the property. Upon commercial production Jeremy Wire will be entitled to a 2 percent Net Smelter Royalty on production from the property. Emgold will retain the right to purchase this royalty for $1 million, less any advance royalty payments already made.

Gold was originally discovered on the Buckskin Rawhide claim area in the year 1906. A gold rush in the area led to a number of mining claims being staked, ultimately forming the Regent Mining District (now known as the Rawhide Mining District). The gold rush led to the formation of the town of Rawhide, which grew to a population of 7,000 by 1908, falling back to 500 by the year 1910. By the 1940's, the town was essentially abandoned.

The Rawhide District was active with mining from 1908-1920, during which time 46,218 fine ounces of gold and 685,901 fine ounces of silver were produced from the historic mines. During this period, historic mining activity occurred on the Property and a number of shafts, adits, and stopes were excavated. No production records appear to exist from these operations. From 1921 through 1935, only 2,815 fine ounces of gold and 51,463 fine ounces of silver were produced from the Rawhide Mining District (Vanderburg, 1937).

Modern exploration at in the Rawhide area, including the Buckskin Rawhide Property, appears to have begun in 1982. Exploration activities consisted of geologic and alteration mapping, surface rock chip geochemical sampling, geophysics, and reverse circulation drilling, most of which was done by Kennecott. At that time, Kennecott was exploring the entire Rawhide District, eventually discovering and developing the Denton Rawhide Mine. Other companies also conducted reconnaissance exploration in the area.

Modern mining in the Rawhide Mining District began in 1988 with the startup of Kennecott's Denton Rawhide Mine. The Denton Rawhide Mine was located near the historic town of Rawhide and was also where the greatest concentration of historic mine workings had existed. Although mining was shut down in May of 2003 due to low metal prices, Denton Rawhide Mine (now called the Rawhide Mine) continues to produce gold from ongoing leaching of ore that was already in place on the heap leach pad. From 1990 through 2009, production at Rawhide Mine is reported to have been 1,543,905 ounces of gold and 12,383,554 ounces of silver (Muntean, 2010). In 2010, Rawhide Mining Company LLC, a private corporation, acquired Rawhide Mine from Kennecott Minerals.

The Buckskin Rawhide West Property, located three miles west of Denton Rawhide Mine, has seen limited historic exploration.

GEOLOGY AND MINERALIZATION

The Buckskin Rawhide West Property is a volcanic-hosted, structurally controlled, epithermal gold-silver target situated in the Walker Lane gold belt of western Nevada. The Walker Lane is a regional shear zone and known gold trend that has hosted large and small historic and recent gold-silver mines in western Nevada, including mines of the Comstock Lode, Tonopah District and Rawhide District. From 1981 through 2009, mines located in Mineral County that were situated in the Walker Lane gold trend have produced 2,800,448 ounces of gold and 56,112,442 ounces of silver (Muntean, 2010).

Property geology and mineralization is similar to Rawhide Mining LLCs Rawhide Mine. Mineralization is associated with structures from the Walker Lane along with lithologic units and structures of the Rawhide volcanic center. The Buckskin Rawhide West Area is situated three miles west of Denton Rawhide Mine, one mile west of the Buckskin Rawhide East Property, and adjacent to the Regent Property.

EMGOLD'S EXPLORATION ACTIVITIES AT BUCKSKIN RAWHIDE WEST

To date, Emgold's exploration activities at Buckskin Rawhide West have been limited to geological reconnaissance, geological mapping, and rock chip sampling. The Property is at the grass roots exploration stage.

The Denton Rawhide Mine, the Buckskin Rawhide East Property, and the Regent Property, are all indications of the exploration potential of the Rawhide Mining District and the potential for discovery of bulk disseminated and high grade vein mineral deposits. Other properties exist with known gold and silver mineralization in the District, including Emgold's Buckskin Rawhide West and Koegel Rawhide Properties.

The Denton Rawhide Mine represents the largest producing mine in the Rawhide District to date, producing a reported 1.5 million ounces of gold and 12.4 million ounces of silver between 1990 and 2010. Several exploration targets have been identified in the vicinity of Denton Rawhide Mine and synergy may exist to developed these targets as satellite deposits of the Mine. However, potential exists for discovery stand alone exploration targets that could be developed independently of Denton Rawhide Mine.

While exploration success at the Denton Rawhide or Regent properties does not guarantee success at Buckskin Rawhide West, it does indicate the potential of the Rawhide District for gold-silver discoveries. There may ultimately be potential synergy for exploration, discovery, and development of the properties, given their close proximity. There may also be potential to expand the Buckskin Rawhide West Property or acquire other properties in the area.

RESOURCES AND RESERVES

Buckskin Rawhide West Property is considered an early stage property. No NI 43-101 compliant resources have been defined for the property at this time.

MINING

If an economically viable resource is found, the potential might exist for mining of high grade vein zones and bulk minable disseminated gold targets using either open pit or underground mining methods. Selection of mining methods would be subject to additional exploration activity and economic studies.

METALLURGY

If an economically viable resource is found, heap leaching of low grade ore or milling of higher grade ore would be evaluated. RMC operates a heap leach operation at the adjacent Denton-Rawhide Mine. Selection of a metallurgical process would be subject to additional exploration activity, metallurgical test work, and economic studies.

PERMITTING AND ENVIRONMENTAL

The Property is currently an exploration stage project and permits for drilling will be administered by BLM in Carson City, Nevada. Permits for small drilling programs disturbing less than five acres typically can be obtained in about 30 days, although the time can be longer depending on the work load of BLM staff at the time of application. Large programs requiring an environmental assessment would take several months.

The Buckskin Rawhide Property does not appear to be situated close to any restricted areas (such as BLM wilderness areas). The Walker Lake Indian Reservation is situated approximately one mile west of the Buckskin Rawhide West claim block.

The State of Nevada is considered to be one of the best jurisdictions in the world for permitting mining operations. Permitting of a mining operation would be done under the National Environmental Policy Act (NEPA).

CONCLUSIONS

The Buckskin Rawhide West Property is a strategically located property given it location to the Denton Rawhide Mine and due to the fact that RMC is consolidating the Denton Rawhide, Regent, and Buckskin Rawhide East Properties.

Initial exploration one the property would be done to define potential mineralized areas for drill targets. The gold would ultimately be to define mineral resources on the Buckskin Rawhide West Property that would have potential to be mined at the adjacent Denton Rawhide Mine. Should exploration be successful and such resources be defined, potential would exist to fast track permitting and development of these resources as satellite deposits to the Denton Rawhide Mine. This strategy has the potential to bring cash flow to Emgold in the shortest possible duration. Alternatively, the Property can be developed as a stand alone project.

QUALIFICATION

Emgold's Qualified Person Mr. Robert Pease, Chief Geologist of the Company, has reviewed and approved the information on this webpage.

The Buckskin-Rawhide East Property (the "Property") is an early stage gold and silver exploration property located in the Walker Lane Gold Belt in the Rawhide Mining District of Nevada. The Property contains occurrences of both high grade vein and low grade bulk disseminated gold and silver mineralization.

When originally acquired by Emgold Mining Corporation ("Emgold") in December 2009, the Property consisted of 46 unpatented mineral claims which were leased through an agreement with Nevada Sunrise Gold Corporation ("Nevada Sunrise"). Nevada Sunrise had a 75 percent interest in 40 of the claims and a 100 percent interest in 6 of the claims. Nevada Sunrise also controlled the remaining 25 percent interest in the 40 claims through an underlying agreement with the Estate of Maurice and Lorraine Castagne. Emgold subsequently staked 6 additional claims, increasing the property size to 52 claims totaling 835 acres.

In 2013, Emgold acquired Nevada Sunrise's interest in the 46 claims and is in the process of acquiring the remaining 25 percent interest in the 40 claims from the Estate of Maurice and Lorraine Castagne (See November 14, 19, and 26, 2012, December 28, 2012, and February 1, 2013 press releases). Upon completion of the acquisition, Emgold will hold a 100 percent interest in the 52 unpatented mineral claims, including all underlying royalty interests.

The Property is adjacent and west of the Denton Rawhide Gold and Silver Mine. Denton Rawhide Mine was owned and operated by Kennecott Minerals Company from 1988 to 2010. Operations at the mine were suspended in May 2003 due to low gold prices but the mine continued to produce gold from existing heap leach pads. From 1990 through 2010, the Denton Rawhide Mine produced 1.5 million ounces of gold and 12.4 million ounces of silver (Nevada Bureau of Mines and Geology Special Publication MI-2010). In 2010, the Denton Rawhide Mine was acquired by Rawhide Mining LLC ("RMC"), a private company that continued to produce gold and silver from the heap leach pads. In 2012, RMC recommenced mining activities at Denton Rawhide Mine.

The Buckskin Rawhide East Property is also adjacent to the Regent Gold and Silver Exploration Property. The Regent Property was acquired by RMC in January, 2013, according to a Pilot Gold Corporation press release dated January 10, 2013. The Regent Property was explored by Kennecott Exploration and Newmont Mining Corporation in the 1980's and 1990's with over 580 shallow reverse circulation drill holes drilled. This drilling was used by Kennecott to define a small mineral resource that would be considered non NI 43-101 compliant by today's standards. Pilot Gold acquired the Regent Property in 2011 and conducted additional exploration, including reverse circulation drilling, prior to selling the property to RMC. The Buckskin Rawhide East Property is now surrounded by RMC's Denton Rawhide Mine and the Regent Property on all sides.

Note that Emgold also has the Buckskin Rawhide West Property, located adjacent and west of the Regent Property and about 3 miles from the Denton Rawhide Mine, It is not currently part of the agreement between Emgold and RMC.

It should be noted that proximity of the Buckskin Rawhide Property to other adjacent properties or properties in the area does not mean a resource will be identified or delineated at Buckskin Rawhide. However, the presence of similar geology and structures on the three properties does increase the potential for exploration success.

Historically, the Buckskin-Rawhide Property was explored by Kennecott and other companies, which included drilling over 80 reverse circulation drill holes. Historic results indicated potential for delineation of both high grade mineralized gold/silver veins and bulk minable disseminated gold/silver zones, which led to Emgold acquiring the Property. Emgold has reviewed historic data, conducted geological mapping and field sampling, and has identified three key exploration targets to date including the:

Chicago Mountain Target (low grade bulk disseminated);

North Buckskin Mountain Target (low grade bulk disseminated); and

Black Eagle Target (high grade vein and low grade bulk disseminated).

In 2011, Emgold announced initial results of surface sampling of the Chicago Mountain and Chicago Gulch areas. A bulk disseminated gold exploration target, called the Chicago Mountain Target, with dimensions approximately 4,000 feet long by 400 feet wide, was identified. A total of 105 historic grab samples in the target area averaged 0.04 ounce per ton gold. Emgold has taken 30 samples in this target area to date, with average grades of 0.02 ounce per ton gold. Of 15 reverse circulation drill holes drilled by Kennecott historically in the exploration target area, 10 were mineralized with the average grade being 0.008 ounces per ton gold to depths of 165 feet.

Emgold has yet to sample the North Buckskin Mountain Target, but analysis of historic surface samples and drilling indicated a second exploration target exists. The target is approximately 2,000 feet long by 400 feet wide. Kennecott drilled 21 reverse circulation holes in this target area in the 1990's with 10 encountering structurally controlled mineralization to depths up to 500 feet.

In 2011, Emgold announced successful results from surface sampling of the Black Eagle Target. Results included a number of high grade gold chip samples. Highlights of samples with grades over 0.5 ounces per ton gold, included:

9.0 ounces per ton gold over 12 inches (EBE 10-23)

1.0 ounces per ton gold over 12 inches (EBE 10-24)

7.3 ounces per ton gold over 12 inches (EBE 10-29)

1.5 ounces per ton gold over 12 inches (EBE 10-52)

2.4 ounces per ton gold over 12 inches (EBE 11-57)

4.1 ounces per ton gold over 12 inches (EBE 11-59)

1.1 ounces per ton gold over 12 inches (EBE 11-60)

To date, Emgold has taken 113 samples in the mineralized area of the Black Eagle Fault with an average grade of 0.3 ounces per ton gold. The gold-silver mineralization is related to the Black Eagle Fault, which occurs over a measured strike length of 1,100 feet, and is open to extension. The Black Eagle Target, within the Black Eagle Fault, consists of fault gouge, quartz veins, and silicified wall rocks overprinted with iron-manganese oxides. To date, the Black Eagle High Grade Vein Target is 360 feet in strike length, contains high grade gold mineralization, and is open to extension. This target is interpreted to be a steep dipping shoot.

The Chicago Mountain Target is situated about one mile from RMC mine facilities and the North Buckskin Mountain Target is about 1.5 miles from the mine facilities. The Black Eagle Target is about 2.0 miles from the mine facilities.

Emgold management believes working with RMC and consolidation of the Denton Rawhide Mine, Regent Property, and Buckskin Rawhide East Property is the best path to fast track potential resource development, production, and cash flow from the Buckskin Rawhide East Property. Note that Emgold also has the Buckskin Rawhide West Property, west and adjacent to the Regent Property and the Koegel Rawhide Property approximately three miles south of the Denton Rawhide Mine.

LOCATION

The property is located approximately 40 miles southeast of Fallon, in Mineral County, Nevada, as shown on the Property Location Map. It is in the Rawhide Mining District (formerly known as the Regent Mining District).

OWNERSHIP

The Buckskin Rawhide East Property comprises approximately 835 acres consisting of 52 unpatented mineral lode claims which are under the jurisdiction of the Bureau of Land Management (BLM). Forty of the mining claims associated with the Buckskin Rawhide Property were staked by Maurice and Lorraine Castagne in 1994 and 1995. Nevada Sunrise LLC staked 6 additional claims in 1995 and 2001. Nevada Sunrise LLC then acquired a 75% interest in the Maurice and Lorraine Castagne claims in 2001, including a carried interest and option to purchase the remaining 25%. Nevada Sunrise LLC leased, with an option to purchase, the 46 claims to Emgold in 2009. Emgold expanded the Property by staking 6 additional claims in 2011. In 2013, Emgold acquired the Nevada Sunrise interest and is currently acquiring the remaining 25 percent interest in the 40 claims from the Estate of Maurice and Lorraine Castagne.

In 2012, Emgold and RMC completed a Letter Agreement whereby RMC would complete a series of private placements totaling CDN$1.0 million into Emgold, with US$510,000 of the proceeds to be used to acquire ownership of the 46 mineral claims leased from Nevada Sunrise (See November 14, 19, and 26, 2012, December 28, 2012, and February 1, 2013 press releases). To date, RMC has completed CDN$750,000 of this private placement of which US $400,000 was used to acquire the 100 percent interest in the 6 claims and the 75 percent interest in 40 claims owned by Nevada Sunrise. The remaining CDN $250,000 private placement is expected to be completed in the near future, of which US$110,000 will be utilized to purchase the remaining 25 percent interest in the 40 claims from the Estate of Maurice and Lorraine Castagne.

Upon completion of the series of private placements and acquisition of 100 percent Buckskin Rawhide East Property by Emgold, RMC has agreed to lease the Property from Emgold based on the following terms:

A Lease Term is 20 years.

Advance royalty payments will be $10,000 per year, paid by RMC to Emgold, with the first payment due at signing and subsequent payments due on the anniversary of the Lease Agreement.

During the Lease Term, RMC will make all underlying claim fees to keep the claims in good standing.

RMC will conduct a minimum of US$250,000 in exploration activities by the end of Year 1.

RMC will conduct an additional minimum of US$250,000 in exploration activities by the end of Year 3, for a total of US$500,000 in exploration activities by the end of Year 3.

RMC will have the option of earning a 100% interest in the Property by bringing it into commercial production.

Upon bringing the property into commercial production, RMC will make "Bonus Payments" to Emgold. Bonus Payments will be US$15 per ounce of gold mined from the Buckskin Rawhide Property when the price of gold ranges between US$1,200 per ounce and US$1,799 per ounce. If the price of gold exceeds US$1,800 per ounce, the Bonus Payment will increase to US$20 per ounce.

After meeting its exploration requirements, should RMC subsequently elect to drop the Property or decide not to advance it, the Property will be returned to Emgold.

After completion of this transaction, RMC will have consolidated the Denton Rawhide Mine, Regent Property, and Buckskin Rawhide East Property. Potential will exist for RMC to complete exploration on the combined properties. Should any mineral resources be developed, it would be possible to fast track the potential permitting and mining of any economic deposits as an extension of the Denton Rawhide Mine and use the facilities there to process any economic material found.

Gold was originally discovered on the Buckskin Rawhide claims in the year 1906. A gold rush in the area led to a number of mining claims being staked, ultimately forming the Regent Mining District (now known as the Rawhide Mining District). The gold rush led to the formation of the town of Rawhide, which grew to a population of 7,000 by 1908, falling back to 500 by the year 1910. By the 1940's, the town was essentially abandoned.

The Rawhide District was active with mining from 1908-1920, during which time 46,218 fine ounces of gold and 685,901 fine ounces of silver were produced from the historic mines. During this period, historic mining activity occurred on the Property and a number of shafts, adits, and stopes were excavated. No production records appear to exist from these operations. From 1921 through 1935, only 2,815 fine ounces of gold and 51,463 fine ounces of silver were produced from the Rawhide Mining District (Vanderburg, 1937).

Modern exploration at in the Rawhide area, including the Buckskin Rawhide Property, appears to have begun in 1982. Exploration activities consisted of geologic and alteration mapping, surface rock chip geochemical sampling, geophysics, and reverse circulation drilling, most of which was done by Kennecott. At that time, Kennecott was exploring the entire Rawhide District, eventually discovering and developing the Denton Rawhide Mine. Other companies also conducted reconnaissance exploration in the area.

Modern mining in the Rawhide Mining District began in 1988 with the startup of Kennecott's Denton Rawhide Mine. The Denton Rawhide Mine was located near the historic town of Rawhide and was also where the greatest concentration of historic mine workings had existed. Although mining was shut down in May of 2003 due to low metal prices, Denton Rawhide Mine (now called the Rawhide Mine) continues to produce gold from ongoing leaching of ore that was already in place on the heap leach pad. From 1990 through 2009, production at Rawhide Mine is reported to have been 1,543,905 ounces of gold and 12,383,554 ounces of silver (Muntean, 2010). In 2010, Rawhide Mining Company LLC, a private corporation, acquired Rawhide Mine from Kennecott Minerals.

Historic Exploration of the Chicago Mountain, Chicago Gulch, and North Buckskin Mountain Areas

Kennecott completed 351 surface rock chip and grab samples and conducted drilling programs in the Chicago Mountain, Chicago Gulch, and North Buckskin Mountain areas. Cordex Exploration and International All North Resources also evaluated the areas. A total of 416 samples were taken of rock outcrops in the area between Buckskin Mountain and Chicago Mountain and analyzed for gold-silver mineralization.

Of these historic surface samples, 105 samples defined an anomalous mineralized zone at Chicago Mountain with grades at or above 0.003 ounce per ton gold, as shown in Table 1.

Of the 80 reverse circulation drill holes on the Buckskin Rawhide Property drilled by Kennecott, 17 were drilled near Chicago Mountain (source of information was Rawhide Mining Company). Reverse circulation drilling showed anomalous gold values in 10 of 17 holes within the same disseminated gold zone defined by the surface sampling, with mineralization occurring from the ground surface to depths of 165 feet.

Historic drill results are summarized in Table 2, which shows the drill holes, weighted average grades and depths of mineralization. Samples were taken on intervals of five feet. The average grade of mineralization in the holes in Table 4 is 0.008 ounce per ton gold, and the mineralized target appears to be open in several directions. Drill hole RK2776 was mineralized with an average grade of 0.005 from surface to 165 feet in depth. This does not represent a true thickness.

Mineralization is from surface to noted depth. Average grades are in arithmetic averages. Average Drill holes are randomly spaced approximately 100 to 800 feet apart. Drill sample size is unknown.

Emgold has yet to sample the North Buckskin Mountain Target, but analysis of historic surface samples and drilling indicated a third exploration target exists. The target is approximately 2,000 feet long by 400 feet wide. Kennecott drilled 21 reverse circulation holes in this target area in the 1990's with 10 encountering structurally controlled mineralization to depths up to 500 feet.

Historic information includes drilling summaries, assay laboratory reports and geologic descriptions of surface sampling. Details of the sampling methods, handling, and quality control methods are unknown, and the historic drilling results being disclosed cannot be verified for the purposes of NI 43-101. Therefore this information is not NI 43-101 compliant and should not be relied upon for investment purposes. This information, however, is a useful guide for current exploration by the Company's geologists.

Historic Exploration of the Black Eagle Fault

Kennecott conducted surface sampling along the Black Eagle Fault, a north-south trending structure situated on the west side of Emgold's claim block, between years 1996 and 2002. Kennecott was exploring for bulk disseminated gold deposits similar to the one found at the adjacent Denton Rawhide Mine (now called the Rawhide Mine), which was being operated by Kennecott Rawhide Mining Company at that time. They assayed a total of 125 rock chip and grab samples over a strike length of 5,700 feet in the area of Black Eagle Fault. The average grade of those samples was 0.031 ounces per ton gold.

Kennecott drilled 80 reverse circulation drill holes on the Buckskin Rawhide Property (source of information was Rawhide Mining Company). They drilled 36 of these reverse circulation holes in the area along the Fault, with 20 of those holes showing gold anomalies greater than 0.005 ounces per ton. However, Kennecott was not looking for high grade gold associated with the Black Eagle Fault and their surface sampling and drilling did not focus on vein structures.

Historic information includes drilling summaries, assay laboratory reports and geologic descriptions of surface sampling. Details of the sampling methods, handling, and quality control methods are unknown, and the historic drilling results being disclosed cannot be verified for the purposes of NI 43-101. Therefore this information is not NI 43-101 compliant and should not be relied upon for investment purposes. This information, however, is a useful guide for current exploration by the Company's geologists.

GEOLOGY AND MINERALIZATION

The Buckskin Rawhide East Property is a volcanic-hosted, structurally controlled, epithermal gold-silver target situated in the Walker Lane gold belt of western Nevada. The Walker Lane is a regional shear zone and known gold trend that has hosted large and small historic and recent gold-silver mines in western Nevada, including mines of the Comstock Lode, Tonopah District and Rawhide District. From 1981 through 2009, mines located in Mineral County that were situated in the Walker Lane gold trend have produced 2,800,448 ounces of gold and 56,112,442 ounces of silver (Muntean, 2010).

Property geology and mineralization is similar to Rawhide Mining LLC's Rawhide Mine. Mineralization is associated with structures from the Walker Lane Basin and Range along with lithologic units and structures of the Rawhide volcanic center. The Buckskin Rawhide East Property is situated adjacent to Denton Rawhide Mine.

EMGOLD'S EXPLORATION ACTIVITIES AT BUCKSKIN RAWHIDE EAST

Emgold's exploration has focused on two main targets to date, the Black Eagle Target and the Chicago Mountain Target.

Chicago Mountain Bulk Disseminated Target

Additional surface sampling by Emgold focused on the Chicago Mountain area and was designed to develop an understanding of the mineralized structures in that area. Twenty-five rock chip-channel samples, ranging from 6-12 inches in length, were taken from outcrops of bedrock and structures. Five samples were also taken from historic mine dumps. Dry sample weights varied from one to two pounds. A summary of assays from Emgold's sampling in the Chicago Mountain area is shown in the Table 3 below.

This historic sampling, by Kennecott and others, combined and confirmed with Emgold's work, has defined a significant northwest trending mineralized zone at Chicago Mountain that is approximately 4,000 feet in length and 400 feet in width. Grades range from an outer lowest grade contour line of 100 parts per billion (0.003 ounce per ton gold) and increase to higher grades of over 2,000 parts per billion (0.06 ounce per ton gold) in the center of the zone.

The sample results and the grade contour map are preliminary in nature and are not conclusive evidence of the likelihood of the occurrence of a mineral deposit. However, the results do justify further exploration of the Property, including core and reverse circulation drilling, for a bulk disseminated gold target.

Black Eagle High Grade Vein Target

The Black Eagle Fault is a prominent north-trending structure situated on the west side of Emgold's claim block. The surrounding bedrock is volcanic and includes latite and vent breccia. The gold-silver mineralization is related to the fault and occurs over a measured strike length of 1,100 feet (and open to extension). Emgold has identified the Black Eagle Target, in the Black Eagle Fault, which consists of fault gouge, quartz veins, and silicified wall rocks overprinted with iron-manganese oxides. The Target is currently 360 feet in strike length, open to extension, and contains high grade gold. The Target is interpreted to be a steeply dipping shoot.

Rock chip samples in the mineralized shoot in the Black Eagle High Grade Vein Target are shown in Table 4 below.

All samples are chip-channel samples taken over 12 inch widths, except 10-9 which is taken over 24 inches. These are not true widths across the vein.

To date, Emgold has taken 106 surface rock chip samples along with seven grab samples of historic mine dumps and bedrock along the potential strike of the Black Eagle High Grade Vein structure to date. These results indicate:

The potential for the presence of low grade bulk disseminated mineralization in the vicinity of the high grade zone (east and west of high grade zone, which carries low grade gold and silver mineralization). Eighteen samples had grades between 0.010 and 0.039 ounce per ton gold.

The potential for additional higher grade mineralized zones along the strike of the Black Eagle Structure (EBE 11-64, to the north of the high grade zone, with a grade of 0.136 ounce per ton gold and 1.109 ounce per ton silver).

The potential for mineralized historic waste dumps (see EBE-D, EBE-ST-D, EBE-ST-L, Shaft West, and Shaft North). Three of these five samples had grades greater than 0.100 ounce per ton gold.

A total of 57 samples collected to date had gold grades that were non-detectable or below 0.010 ounce per ton gold, indicating that significant mineralization was not present in all samples, or that the mineralized structure was not sampled.

EMGOLD'S QUALITY ASSURANCE AND QUALITY CONTROL PROGRAM FOR EXPLORATION

Emgold's quality assurance program and quality control measures for exploration at Buckskin Rawhide were described in the press release dated October 4, 2011 and pertain to all surface geochemical samples taken on the property. Quality control measures include representative sampling, proper numbering, and accurately locating samples in the field both visually on maps and also with a GPS instrument. Samples are transported by the geological staff from the field to Emgold's office-warehouse facility to assure secure storage, and are then packaged for shipment to the assay laboratory. The Company may also incorporate its own samples as test blanks and assaying standards for analysis. Samples are shipped by Emgold employees or via commercial carriers directly to the assay laboratory for analysis.

Emgold's Qualified Person Mr. Robert Pease, Chief Geologist of the Company, visits the assay laboratories to review the general sample handling and preparation measures, to make sure they are adequate. The assay laboratory catalogues all samples, maintains complete chain of custody throughout the analytical process, and electronically mails the chain of custody forms to Emgold for review prior to initiating sample preparation. All sample preparation is done at the laboratory by their staff. As part of their quality assurance, the laboratory incorporates assaying standards, test blanks, and duplicate analyses of samples, and includes those results in final reports. The final signed reports complete the chain of custody process. Thus far, no factors have been encountered in sampling programs conducted by Emgold on the Buckskin Rawhide property that would materially affect the accuracy or reliability of Emgold's sample data or cause loss of confidence in the laboratory. American Assay Laboratories, Inc. of Sparks, Nevada, an independent and adequately certified laboratory, has conducted the laboratory analyses of Emgold's samples. Samples taken by Emgold were analyzed using standard fire assaying and ICP methods.

DISTRICT EXPLORATION POTENTIAL

The Denton Rawhide Mine, the Buckskin Rawhide East Property, and the Regent Property, are all indications of the exploration potential of the Rawhide Mining District and the potential for discovery of bulk disseminated and high grade vein mineral deposits. Other properties exist with known gold and silver mineralization in the District, including Emgold's Buckskin Rawhide West and Koegel Rawhide Properties.

The Denton Rawhide Mine represents the largest producing mine in the Rawhide District to date, producing a reported 1.5 million ounces of gold and 12.4 million ounces of silver between 1990 and 2010. Several exploration targets have been identified in the vicinity of Denton Rawhide Mine and synergy may exist to developed these targets as satellite deposits of the Mine. However, potential exists for discovery stand alone exploration targets that could be developed independently of Denton Rawhide Mine.

While exploration success at the Denton Rawhide or Regent properties does not guarantee success at Buckskin Rawhide West, it does indicate the potential of the Rawhide District for gold-silver discoveries. There may ultimately be potential synergy for exploration, discovery, and development of the properties, given their close proximity. There may also be potential to expand the Buckskin Rawhide West Property or acquire other properties in the area.

RESOURCES AND RESERVES

Buckskin-Rawhide is considered an early stage property. No NI 43-101 compliant resources have been defined for the property at this time.

MINING

If an economically viable resource is found, the potential might exist for mining of high grade vein zones and bulk minable disseminated gold targets using either open pit or underground mining methods. Selection of mining methods would be subject to additional exploration activity and economic studies.

METALLURGY

If an economically viable resource is found, heap leaching of low grade ore or milling of higher grade ore would be evaluated. RMC operates a heap leach operation at the adjacent Denton-Rawhide Mine. Selection of a metallurgical process would be subject to additional exploration activity, metallurgical test work, and economic studies.

PERMITTING AND ENVIRONMENTAL

The Property is currently an exploration stage project and permits for drilling will be administered by BLM in Carson City, Nevada. Permits for small drilling programs disturbing less than five acres typically can be obtained in about 30 days, although the time can be longer depending on the work load of BLM staff at the time of application. Large programs requiring an environmental assessment would take several months.

The Buckskin-Rawhide Property does not appear to be situated close to any restricted areas (such as BLM wilderness areas). The Walker Lake Indian Reservation is situated approximately one mile west of the Buckskin Rawhide West claim block.

The State of Nevada is considered to be one of the best jurisdictions in the world for permitting mining operations. Permitting of a mining operation would be done under the National Environmental Policy Act (NEPA).

CONCLUSIONS

Three key exploration targets have been identified on the Buckskin Rawhide East Property to date that requires further evaluation. The first two are the Chicago Mountain and North Buckskin Mountain Bulk Disseminated Targets, which may have similar type of mineralization as the nearby Denton Rawhide Mine. The third is the Black Eagle High Grade Vein Target in the Black Eagle Fault which could represent a high grade vein target surrounded by a bulk disseminated target.

The development strategy includes advancing the Buckskin Rawhide East Property in cooperation with RMC, who own the adjacent Denton Rawhide Mine and Regent Property. The initial step would be to define mineral resources on the Buckskin Rawhide East Property that would have potential to be mined at the adjacent Denton Rawhide Mine. Should exploration be successful and such resources be defined, potential would exist to fast track permitting and development of these resources as satellite deposits to the Denton Rawhide Mine. This strategy has the potential to bring cash flow to Emgold in the shortest possible duration. Alternatively, the Property can be developed as a stand alone Project.

QUALIFICATION

Emgold's Qualified Person Mr. Robert Pease, Chief Geologist of the Company, has reviewed and approved the information on this webpage.